The conventional speed controllers for vector controlled induction motor drive (VCIMD) suffer from the problem of stability, besides, these controllers show either steady state error (PD controller) or sluggish response (PI, PID) to the perturbation in reference setting or during load perturbation. This paper presents a fuzzy logic based speed controller and its design for vector controlled induction motor drive. This controller has been implemented on a 3 phase, 415 V, 0.75 kW squirrel cage induction motor. Test response of the developed variable speed drive along with simulated response are given and discussed in detail